The Zhitong Finance App learned that cement stocks continued to strengthen. As of press release, China Building Materials (03323) rose 7.38% to HK$2.91; China Resources Building Materials Technology (01313) rose 6.3% to HK$1.35; Conch Cement (00914) rose 3.93% to HK$16.4; and Asia Cement (00743) rose 1.92% to HK$2.12.
According to the news, Tianfeng Securities pointed out that according to the cement network's forecast, the cement industry's annual profit in '23 was 31 billion yuan, down 55% from the previous year, to a 16-year low, but it is currently close to the phased bottom of profit, and it is expected that there is limited room for further decline. The bank believes that cement is expected to benefit from subsequent improvements in infrastructure and real estate demand expectations. In the medium to long term, the supply pattern is expected to continue to be optimized.
Hualong Securities said that the accelerated progress of the “three major projects” and the release of key investment projects exceeding trillion dollars in various regions are expected to boost demand for related building materials products. At the same time, favorable real estate policies are expected to drive recovery in the real estate market, and demand in the related building materials industry is expected to improve.